Can anyone explain how to operate at 1.75 a mile and stay in business!?

@POWolfTrans

I think you need to reset your brain.

Right now, you can't see the forest for the trees.

 

Its a matter of choosing one of two steps: either reduce your running costs or get a much higher mileage rate.

 

Are you running your own authority?

I'm not. I'm leased to a carrier & they cover the liability & cargo. I pay ONLY for physical damage & bobtail.

However, I'm gathering quotes to get my own numbers. So far I got a quote for 1 million liability, $250k cargo with refer break down insurance, $65k non owned trailer insurance (for power only if I choose that route) & physical damage. Don't need bobtail if I'm under my own numbers. The quote is for $17,800 a year. $3300 down & $1400 a month. This is for a new entry authority.

 

@nax can you give Mr Stewart the insurance info I gave you? I'm unable to send PM's. My insurance guy is a miracle worker and now has even saved us 4,000 on workmans comp too! Saved us $20,000+ across 6 trucks. Insurance is freakin crazy!

 

@JL of Indiana will do.

I spoke with your agent. He told me that what I got was pretty good for my situation.

Also said he may be able to work with me once I have 2+yrs CDL

 

I will let folks that know more about insurance answer your comment about insurance. I will address your comment about how much money you will make that stuck out like a big, ripe, bleeding thumb.

Sure, you can "make" $800-1600 a day" or even more, BUT you do realize the difference between GROSS REVENUE, GROSS PROFIT, and NET PROFIT... right?

If you don't know these terms then it would lead me to believe that you did not prepare a BUSINESS PLAN. Without a BP you are driving blind. A BP includes a marketing plan as well as projected profit and loss statement (typically a three to five year projection) as well as a projected balance sheet and cash flow analysis.

The more you post the more I am under the impression you got into your predicament without thinking things through. A business plan FORCES you to think things through.

 

I appreciate the info gentlemen.

 

@JL of Indiana - how long have you been running under your own authority?

 

Well, have had it since 08 but didn't start really ramping up with multiple trucks until 2013. It takes some time to get going those first years. But yes, went with own authority straight outta the gate with a 91 T8 and a '96 Great Dane. lol

I think our broker authority, I applied for in '12. I posted in another thread a couple weeks ago about some back history.

 

Yeah, it's smart to not try to grow too fast. How many trucks are you running now?